This paper focuses on the relationship between firms’ technological capabilities and differentforms of cooperation for innovation by combining the analysis of both micro and meso levels,i.e. the level of the firm and of the geographical region. Our findings, based on the Fourth UKCommunity Innovation Survey (CIS), provide new insights regarding the relationship betweencooperative linkages for innovation and the development of technological capabilities bybusiness units. Firstly, the distinction between competences and capabilities adopted in thispaper seems appropriate for going beyond the rather simplistic dichotomy of ‘innovative’versus ‘non-innovative’ firms commonly used in interpreting CIS data. Secondly, we find thatthe analysis for the UK as a whole masks stark regional differences in terms of intra- andextra-region collaborative linkages and degrees of firms’ technological capabilities. Thesefindings may be useful to help policy making to meet the priorities highlighted within the UKGovernment’s framework for Science & Technology....